I was scammed on Facebook

Katie, 23, from Hampshire risked taking on someone else’s debt when she was drawn into a scam on Facebook. With help from Citizens Advice, she was able to find legal advice and shut down a sham company that had been set up in her name.

Katie was a duty store manager with a decent regular income. After the birth of her child, she decided to take some time out from work and was keen to find a way of boosting her income. A friend posted on Facebook that they’d been paid £75 to sign up as a company director — and all that it involved was giving their name and details. They also received a £50 fee for every new person they referred.

Katie was intrigued so contacted her Facebook friend who explained it was all above board. “It seemed legitimate. I saw posts on the company’s page of people who were paid and had their details removed after the company was set up.”

“I also trusted my friend as she had signed up and received payments too.”

The company worked to help others set up their businesses and were looking for people to sign paperwork to become temporary company directors. Katie’s friend assured her that her name would be removed from company records within four weeks. “I didn’t have much money that month so thought it was a good way to make money from home”.

Katie was asked to fill out some forms online, send two forms of ID and sign the documents. A month passed and her details hadn’t been removed from the company. This made Katie anxious about what she had actually signed up for.

“I contacted the company to ask them to remove me as a director. They responded by blocking me on Facebook. I called them over sixty times and no one ever picked up. I also found out that as the director of a company if my ‘business partners’ get into debt I could be held liable.

“I started to do some research online and came across a Facebook page started by someone who had been the victim of the same company as me. People were suggesting it was a money laundering scheme. I was really worried about what I’d signed up for”.

The scammers were helping people from abroad illegally set up UK companies, using unsuspecting people like Katie as directors. “The company targets people like me and my friend. People who are unemployed and struggling — as they knew we’re desperate for some some extra money.”

Katie decided to call Citizens Advice for help and they referred her to local free legal advice. They advised her of her legal position and helped her contact Companies House to dissolve the company.

“I’m glad I was able to shut down the company as I was really anxious that I could have been liable for someone else’s debts. But I’m angry and upset that my personal details will now remain online for the next 20 years.”

If you think you or someone you know has been scammed, you can find out more about how to spot, report and talk about it here.